5 Things to Know Before the Stock Market Opens Monday
- Running to Records U.S. stocks are riding a steady climb to new highs. Both the S&P 500 and Dow Jones Industrial Average closed at record levels on Friday, with the Nasdaq Composite also showing strong gains. Last week saw all three indexes rising by over 1%. As the markets focus on several key events, including the U.S. presidential election, conflicts in the Middle East, and Federal Reserve policy, this week’s earnings reports will further shape the stock market’s trajectory.
- Banking on Earnings This week will be packed with earnings reports from major companies, especially from the financial sector. Last Friday, JPMorgan Chase and Wells Fargo exceeded expectations, helping push stock markets higher. Among the big names to report earnings this week are:
- Tuesday: Johnson & Johnson, Bank of America, Walgreens Boots Alliance, Goldman Sachs, Citigroup, United Airlines
- Wednesday: Morgan Stanley
- Thursday: Netflix
- Friday: Procter & Gamble
- Boeing Cuts Boeing is grappling with financial challenges as it plans to cut 17,000 jobs, representing 10% of its workforce. This comes amid production disruptions caused by a machinist strike and ongoing difficulties. The company is also delaying the delivery of its 777X wide-body plane until 2026, and expects to report a significant third-quarter loss of $9.97 per share. CEO Kelly Ortberg outlined the tough restructuring decisions necessary to keep the company competitive.
- SpaceX Milestone SpaceX achieved a key breakthrough on Sunday with the successful fifth test flight of its Starship rocket. In a historic first, the rocket’s booster was caught by the launch tower arms after its ascent. This marks a crucial step toward making the Starship system reusable. After launching, the rocket entered space and traveled halfway around the Earth before splashing down in the Indian Ocean.
- 2024 Policy Stakes The 2024 U.S. election carries major implications for corporate America. Vice President Kamala Harris and former President Donald Trump hold divergent views on key issues like taxes, tariffs, regulation, healthcare, and clean energy. The election’s outcome will likely have significant impacts on industries such as airlines, banks, electric vehicles, and technology. The policies proposed by each candidate could lead to vastly different outcomes for companies across sectors.
